Objective - I'm about 51/49 on this. I don't see many, if any, cases where it really helps, but can imagine corner cases where it might hurt (eg, if you look too ambitious, or not ambitious enough, etc.). All in all, I'd probably leave it off.
Otherwise, while most people default to chronological resumes, there's a case to be made for a functional resume for recent graduates, people changing careers, or people with non-traditional educational careers, etc. The idea is, emphasize your skills and what you can do, rather than what you have done.
If you're not familiar with functional resumes, here's a pointer or two:
* http://www.businessnewsdaily.com/7770-functional-resume.html
* http://career-advice.monster.com/resumes-cover-letters/resum...
Now, the flipside is, there are people who argue that "functional resumes are bad", like this:
http://www.quintcareers.com/functional-resume/
My feeling is that if you're using a functional resume to try and hide something, then this kind of thinking holds. But if you're young, recently out of school, etc., that will be pretty obvious anyway, and a functional resume may still be better at emphasizing your skills and strengths.
FWIW, if I was reviewing a resume and it was for a entry level job, I would not in any way "ding" the candidate for using the functional style. In fact, I'd probably appreciate it, because it makes my job easier than trying to infer things from your description of your various class projects, internships, summer jobs, whatever. Just go ahead and tell me what you think you can do, and an interview will be the opportunity to dig deeper.
If you'd like specific feedback on your resume as it is, feel free to email me (prhodes@fogbeam.com) or post a link in this thread.